The government has approved legal amendments which will require crypto asset service providers to submit transaction data reports to the Estonian tax authority, the MTA.
Income earned from crypto assets must be taxed like any other income, but in practice this is not always done, Finance Minister Jürgen Ligi (Reform) noted.
This taxable income received in crypto assets must also be declared. From 2027, it will be mandatory in Estonia for crypto asset information to be submitted. Up to now, crypto income had not been declared very proactively.
“In 2024, around 2,400 taxpayers declared this income, and the total amount remained just under €20 million. But one also has to bear in mind that the crypto market is highly volatile, so in some years it is possible to make a profit, while in other years there can be major losses. And of course, during loss years, taxpayers do not have much motivation to show that. And in fact, so far they haven’t really been doing so even in years of profit,” said Erle Kõomets, head of the tax and customs policy department at the Ministry of Finance.
Some cryptocurrency businesses work in the online gambling sector, an area which has been in focus lately after a typo in amendments to the Gambling Tax Act as approved last December inadvertently removed online casinos from taxation for 2026.
This was done by using the terminology “skill games,” such as poker, but omitting “games of chance,” such as roulette, in a key section of the text. This oversight was missed by all links in the legislative drafting chain, and is estimated to have cost state coffers several million euros.
Read more: ERR.EE
